The Memphis appeal. [volume] (Memphis, Tenn.) 1886-1890, 1887-06-05
UAl0N PACIFIC RAILWAYS
THE FINAL SESSION OF THE CON.
MISSION
Held Yesterday In BOstOn-President
Adams, Of the Union Pacific,
Principal Witness.

BosToN, MASS, June 4.-The fiua
session in Boston OF the Union Pacific
Investigation Comm ssion was held
this morning. Several papers in rela
tion to the statistics I the re ad, offered
by Comptroller Mink, we're put in evi-
dence, ss was also Jsy Gould's account
with the Kansas Pacific aud Union
Pacific. President Adams, OF the
Union Pacific, was the first witness
He said an impression had gone forth
that the matter of consolidation had
resulted in foisting a couple of worth
less roads upon the Union Pacific. He
presented a statement Of the earnings
OF the annexed lines to prove that this
was not 10. The Ksrsas Pacific
branch at the present time earns as
much as the Union Pacific central
line. The consolidation had been adj
vantageous f1r sill the roads. Bonds,
which at the time of the consolidation
were at 80, are now ct par. Those at
80 are now bought at $50. II was very
apparent, he eaid, that the whole mat
ter Of consolidation has benef ited the
community exceedingly, and in his
opinion any attempt TO fever
the consolidation would be sx-
ceedipRly unfortunate. 1t has
helped traffic by breaking down bar
riers and reducing rates, as we'll
as increasing the governments secar-
ity. Witness Eaid he had no reason
to suppose that any OF the directors
profted improperly from it, and,
while unwilling to pass judgment
upon Mr.. Gould in this CONF ection,
he thought the settlement was a very
good and timely one. He thought
the Union Psc fic received from roads
east about 81 100000 in constructive
mileage, while it pays out $4,000 for
that purpose. Much has been said
about the fact that large portion of
the stock Of the Union Pacific and
Kansas Pacific was issued for con-
struction purposes, aud was not to be
paid for in cash; but. witness de-
clsred, there has been paid in more
than 10 per cent. in cash on the stock
OF the Union Pacific. This is better
showing than that made by any other
road west OF Chicago. Witness be-
lieved that, however, much nay have
been made by private individuals,
there is no rarity in the country that
has made so much out OF the Union
Pacific az the Government of the
United States. The entire amount
which it has paid to the company has
he claims, been repaid fully FIVE
times over. He claimed that If the
road should, when the time for the
maturity of its debt arrived, find itself
unsble to meet its obligation it will be
purely the fault Of the government fer
its attitude toward the read aud the
passage CT the Thurman act. The
sinking fund created by the act, which
it's projectors claimed would earn
per cent, is in reality a barren fluid,
locked up in napkin and bearing
only 2 per cent. "The government"
he said, "forces us to divert our money
to source that no business man has
confidence in, and submit it ia
neither justice, business nor common
sense. The government holds our
arms while cur competitors pick our
pockets. With the 100000 locked
up in this fund we would develop the
Western country and transform the
fortunes of the road. II the govern
ment should gvs the road its freedom
and the road should fail to meet lis
obligation, then the government could
step in and foreclose.'
At noon tho hearing finally closed,
not to be reopened in Boston until
next October.